Opportunities with car makers take a longer time. Therefore, in the near term, the group will also invest in developing the Chinese automotive market, which, after all, is a very big market, in order to increase our short-term revenue. This concludes my updates and outlook for the backlight and automotive markets. Thank you, Patrick. I'm Jerry. Ennostar made a material announcement today on the merger of EPISTAR and Lextar into a single subsidiary to accelerate the advancement of optoelectronics applications and value-added solutions, while reinforcing the company's foundation and development prospects. The merger is intended for organizational optimization and adjustment of Ennostar and will not affect shareholders' interests. The consolidation is slated to take effect on October 1st, 2025. Next, Paul will speak on Ennostar's future plans. Thank you. I will talk on the decision of the board of directors today. Today, the board approved the establishment of Ennostar Corporation.
In view of the fierce competition of the LED industry, Ennostar Holding Company was established in January 2021, comprising three wholly owned subsidiaries: EPISTAR, Lextar, and Unikorn Semiconductor, which is a compound semiconductor company. Back then, the goal was to enhance our international competitiveness through group operations. In June 2023, the second board of directors took office, embarking on more active transformation under the One Ennostar principle to advance the group's integration both upstream and downstream, seeking to achieve greater synergies and enhance our long-term competitiveness. More than a year into the reorganization, we have made business adjustments, including ending the microelectronics business of Unikorn Semiconductor, refining the focus on our core optoelectronics business, keeping only the two wholly owned subsidiaries, which are EPISTAR and Lextar. We believe that we should approach the market as One Ennostar, facing the competition in the industry and enhancing our position in the industry.
Therefore, our board of directors approved the merger of EPISTAR and Lextar into Ennostar Corporation. Since this is a merger of two wholly owned subsidiaries, there is no impact on the interests of our shareholders. It is simply a consolidation of two companies into one. As part of the business adjustments, we have mapped out the 3+1 strategy, providing more clarity to our corporate vision. We have also defined our corporate vision as walking with light, driving innovation, smart sustainability, and illuminating the future to guide our journey toward becoming a provider of integrated optoelectronics solutions. At the same time, we are advancing our competitiveness through two strategic value-added engines. The dual value-added engines are value-added field applications and value-added solutions, as shown on the second slide. We hope to provide customers with optimal value through the two value-added engines.
As you can see from this slide, we were a parts supplier, but now we are a field applications and solutions provider. In the future, we hope that we will leverage the expertise in three new business areas, plus new growth engines, to enhance the overall value and propel Ennostar's transformation. In the future, we will not only be an LED company, but we will also be the best provider of field applications and solutions. So this is the background of the merger into Ennostar Corporation. We hope that this merger will enable us to improve our efficiency and increase our competitiveness, allowing Ennostar Corporation to operate steadily and deliver robust profits. This concludes my remark. Thank you. Thank you, Paul. Now we will proceed to questions and answers. Thank you. We will now start questions and answers. The first caller is Anne Lee from Nomura. Please go ahead.
Good afternoon, management team. Could you hear me? Yes. Okay. Thank you for taking my questions. You talked about that you are anticipating sequential growth for the rest of this year. However, in the past few years in Q4, you had double-digit corrections. Could you tell us any reason that makes you think that you could project sequential growth through Q4 as early as now? Thank you. If consumer products or commodity products still represent a big share of our revenue, we generally will be more vulnerable to the slower seasonality in Q4. However, we have increased contribution from value-added products under the 3+1 strategy, and we've also had more contribution from field applications and solutions. The impact of seasonal variations will lower. However, at the moment, we are projecting for sequential growth based on common sense. Indeed, Q4 sees slower seasonality for consumer products.
However, we hope that through our structural adjustment, we will be able to lower the impact from seasonality gradually. At the moment, this is the trend that we are going toward. Of course, I am not able to tell you that demand will not weaken in Q4 at all. So it sounds like you are expecting to experience some breakthroughs. You talked about 3+1 value-added strategy. Could you provide more color on the areas where you expect to see new revenue streams in the second half of this year? We are seeing increasing shares from the automotive applications, from backlight or interior-exterior displays. We are seeing higher revenue shares. Of course, there are also other projects, such as what Patrick has told you earlier. We are also working on designs with customers. These projects will likely make more contributions in three or two years.
However, we are seeing nice progress being made from the contribution from projects that we clinched years ago. Moreover, in terms of sensing or horticulture lighting, which are very highly advanced products, they are also making more contribution to our revenue. Moreover, micro-LED is making a contribution too. After adjustments over the past two years, we are shipping micro-LED in higher volumes this year. These are all value-added projects or applications of Ennostar. Of course, there are also some longer-term initiatives, for example, optics-based communications, where we have made heavy investments in terms of R&D, and we are expecting to see greater contribution from these initiatives in two or three years' time. However, at the moment, we will have to invest more R&D resources in propelling the progress so as to be involved in the development of the industry. Could I have a follow-up on the increased micro-LED shipment volume?
You talked about automotive backlights and interior as well as exterior displays of vehicles. You expect to have more shipments. Will that include micro-LED as well or simply include consumer products? Currently, in terms of our micro-LED initiatives, we have displays. We also have wearables such as watches or automotive applications, where we are making steady progress. In terms of our earlier applications, we have displays and wearable applications, and this year, we expect to see some progress made. Automotive applications generally require longer time in the development progress and are projecting to see more visible growth from the automotive applications starting from next year. Thank you. You are talking about an increased revenue share from your automotive applications. Could you provide us with a growth target? I'm Patrick from Lextar.
Of course, we have some target made for the entire year's growth, but in terms of Q1, with few working days in Q1, as I just shared with you, we still believe that between Q1 and Q4, there will probably be double-digit growth in Q1. Did you refer to the automotive application? Yes, automotive. Q1 over Q4. Q4, nearly double-digit percentage growth. Okay, that's all from me. The next caller is Lisa Chen from Yuanta Securities. Please go ahead. Hi, I'm Lisa. Previously, you expressed optimistic views about invisible lights. Are you projecting invisible light to see growth or to be flattish from the previous year? Thank you. Hi, I'm Terry from EPISTAR. We noted earlier about the growth trajectory for Sensing this year. Last year, Sensing posted strong growth, mainly due to the adoption of new applications.
For this year, smart wearables and mobile applications will likely see slower demand and slower growth. However, with new designs with our existing customers and increased demand from new customers, we remain positive about the revenue growth of our sensing business. Further down the road, we are looking ahead at newer applications such as wearable applications and things like blood pressure and blood sugar monitors, as well as mobile applications aided by the adoption of AI PCs. We are expecting demand to be strengthened, adding to the growth momentum. So you are projecting for single-digit or double-digit growth rate? Can we be that specific? Currently, there are many factors at play. We are maintaining a more optimistic view. However, it will still come down to the adoption by new customers. Thank you. In terms of the implementations by your new customers, will that include notebooks and wearables?
What kind of notebook applications for sensing? Mainly, things like facial recognition on boot. That would be one of the key applications. So is it being implemented in more models or by new customers? Currently, there are increasing numbers of international brands implementing such technology. Okay, understood. Thank you. In addition, you talked about your initiatives in silicon photonics. Could you provide more color on the progress? Are you working on R&D, or are you making some inroads in the market? Since we participated in the Silicon Photonics Industry Alliance, we have seen more growth opportunities emerging in the silicon photonics-based communication segment. Because when it comes to CPU or GPUs, they are very power-intensive. Replacing traditional copper wires with silicon photonics-based communications is an emerging trend. However, under different transmission range, there are different requirements for efficiency improvements. Basically, InP-based lasers are being deployed for long-range transmission.
For mid-range transmission, VCSEL is more popular. For short-range transmission, micro-LED, which is a key focus of Ennostar, gets to provide more power efficiency. And in all of these segments, we have initiatives, all three of them. We have been making investments in the micro-LED segment. In terms of the other two segments, we are developing our relationships with the ecosystem partners, hoping to shorten our learning period so as to enter into silicon photonics communication as soon as possible. Thank you. That's very clear. I have another question. Are you at the stage where your micro-LED production lines are ready to make mass production, or are you just tuning your capacity at the moment? Basically, over the past few quarters, we have made very visible breakthroughs in improving our yield rate.
In terms of the validations by our customers or in the implementations of products, we have been making good progress. Currently, what we are working on is optimizing our process and our capacity, and we are mainly focusing on improving the output using our existing capacity. Thank you. Very, very clear. Thank you. This concludes my question. Thank you. Thank you for your questions. We do not have any other questions. Now we will turn back to Mr. Damon then. Ladies and gentlemen, this concludes our investor conference for this quarter. If you have any other questions, please feel free to contact us at the IR department of Ennostar. Thank you. We'll see you next time. Thank you very much for your participation in the 2024 Fourth Quarter Financial Results Conference of Ennostar. This concludes the meeting. You may disconnect now. Thank you.